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How the Customer Perceives a Truth as a Lie - 5/27/25


You’re the customer, you’re asking about an unused item that you’re returning, and you hear the employee say: “The refund process takes 7-10 days.”  You’re thinking: “Great!  I can get the refund check as early as a week from today!”  The reality is that the company means that they’ll Read more

Tell Customers What’s Next - 5/20/25


In most businesses that have been around for a while, how a process was originally designed is not how it currently operates.  Sometimes this change is referred to as “practical drift,” where the actual process moves further and further away from the documented steps over time.  Maybe the changes Read more

Questions to Guide You to Empathy - 5/13/25


“If I was him, I would do ABC…” If you’ve ever heard somebody say this - whether it’s a friend or acquaintance, whether it’s some TV reporter or podcaster - you may get as frustrated or as annoyed as I do. I get annoyed because we are not that other person. Read more

Negate the Nervousness - 5/6/25


The customer needed a loan, so he walked into the bank, but he was a little nervous.  He knew that launching his business would be easier if he had some working capital, but that’s about all he knew.  He was anxious because he didn’t know what to expect in Read more

Don’t Rush to Resolve Quickly - 4/29/25


The customer is angry, so you use the CSS LEAD technique as designed.  You, listen, empathize, accept responsibility, and deliver on a remedy.  But it doesn’t work.  The customer is still upset, and maybe even a little more frustrated than when you started…why?! If the use of this technique fails, Read more

Energy v. Apathy - 4/22/25


I asked a couple friends who are much more scientifically-oriented the question: What is energy?  I didn’t mean E=MC2.  I meant physiologically, what is energy? They described a lot of things that sounded really good, yet far too advanced for my non-medical mind. Part of the reason why energy is of Read more

Prep Enough to Personalize - 4/15/25


Everybody loves Howie.  He is an account rep for the local air conditioning and heating company.  When I say Everybody loves Howie, I’m definitely talking about the customers.  His co-workers love him too, but customers are especially fond of him.  They seem to really enjoy their conversations with him, Read more

Get Your Customers to Brag, Not Bolt - 4/8/25


Here are two customer retention concepts that we discuss with some sports clients: BIRG and CORF.  BIRG is Basking In Reflected Glory.  CORF is Cutting Off Reflected Failure. You want BIRG.  You want the customers feeling so good about your organization that they want to be a part of your Read more

Narrow Your Focus to Seek Excellence - 4/1/25


You’ve probably heard companies use phrases such as: “We want to go from being good to great.”  Maybe they’ve said: “We strive for perfection, and although we’ll never reach perfection, maybe we can achieve excellence along the way.” These organizations find some kind of a catch phrase or slogan, but Read more

Avoid the Unfriendly Ghost - 3/25/25


Last week we talked about the qualities of “PERKI Customer Service,” essentially what attitudes and actions are characteristics of those who provide great customer service.  This week, let’s take the opposite approach.  What are some of the mistakes that people make?  Maybe these are mistakes of omission or commission; Read more

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The Hidden Netflix Customer Service Gaffe

Posted on September 23, 2011 in Business Advice Please leave a comment

By now, you’ve probably heard how Netflix has lost 1 million subscribers (about 4%) of their customer base due to 100% of their own decision-making. They decided to split their DVD rental service from their video streaming service. This increased the fee for having both services by about 60%.

They thought they’d lose subscribership, and they lost more than they thought. But this was part of a long-term strategy, one that they’re sticking to for the time being.

If you ignore the obvious customer anger at the price increase and the risk of this strategy (which will probably be an M.B.A. case study in a couple years), there’s a seemingly minor issue that’s created a lot of unexpected backlash.

Customers who keep both services will now receive 2 bills which they have to pay separately.

Yes, Netflix now has created more work for its customers. This is the opposite of great customer service.

We often talk about reducing the “hassle factor” for your customers, the need to make it easy for customers to do business with you. Netflix has taken a strategic change in their business model and made it more of a hassle for customers to do business with them.

Start thinking about your company through the eyes of your customer. In what ways is it a hassle for your customers to access information from your company, to get answers to their questions, to get through to a representative, to purchase a new service, to request a refund, or to pay a bill?

Make sure your great strategies don’t create great barriers to your customer’s satisfaction.

Listen to our latest podcast of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/


From Harvard’s Calculator to Your Ears…and Eyes

Posted on May 4, 2011 in Business Advice Please leave a comment

The Harvard Business School promotes its version of the “Customer Lifetime Value Calculator.” This is a method of determining the true potential financial impact of your customer to your business.

There are 5 main pieces to the impact-calculating puzzle:

· Base profit – Transactional profit

· Profit from increased purchases – Profit from multiple transactions

· Profit from price premium – Profit from willingness to pay more per transaction

· Profit from reduced operating costs – Profit from less expenditures to retain than acquire the customer

· Profit from referrals – Profit from less expenditures to get customers via referrals than marketing/advertising to acquire them

So if this is the financial “Why” of customer retention, what is the “How?” The “How” comes from 3 things:

· First, you have to have what we call a Client Relationship Development (CRD) strategy to continually “touch” and develop relationships with customers over time – even when they’re not spending a dime with you.

· Second, you need to have a Client Experience Management (CEM) strategy – where you build a service and sales experience that hits all the key hot buttons.

· Third, you need a Service Culture that creates the people, processes, attitudes, structures, communications, and general alignment of everything the organization is about…toward the customer.

Calculate your customer’s potential lifetime value, and then create the “How” strategies to tap into those dollars.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/


The Sports Agent…Ethics and Customer Service

Posted on July 23, 2010 in Business Advice, Sports, World of Customer Service Please leave a comment

The sports agent was moving into his new downtown office and was especially excited about the day. A friend of his had arranged for the agent to meet with a professional football player who was disgruntled with his current agent. The player wanted to meet the agent at his new office even though the agent was still in the process of moving. Not wanting to miss out on this opportunity, the agent told his friend to have the player meet him at the office in the morning.

The agent was sitting in his high-backed leather chair when he heard someone walking toward his door. “That’s him!,” thought the agent. So he picked up his phone, swung it around so he couldn’t see the door and began talking loud enough for anyone to hear.

“That’s right,” said the agent, “give my client a $2 million signing bonus or he tests the free agent market. We’re serious.”

After pausing for a few seconds, the agent said “then it’s a deal…$2 million. My client will be very happy.”

The agent turned his chair around and hung up the phone, but he didn’t see anybody in his office. He called to the lobby, “is somebody there?”

“Yes, sir,” replied the person in the lobby, “I’m here to install your phone.”

The sports agent wanted so badly to make a good first impression, that he crossed that ethical line. If that prospective client had been standing next to the phone technician, he would have turned around and walked away.

Now most salespeople have strong ethics. But the key point is that the entry point into your organization for a first-time customer sets the expectations for the company’s retention efforts. In your customer service role, you need to be VERY aware of the processes and people that acquire the customers for your business. What expectations do these individuals set? What image do they portray? What information do they gather that’s useful to your retention efforts?

Understand what the sales staff do and how it impacts your retention efforts.

Interested in improving your company’s customer service? See more information at: http://www.cssamerica.com/

Check out our new customer service book at http://www.amigreatat.com/


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